When New York couples of means split up, their divorces can get quite complicated to sort out. Two of the most common sticking points in a high-asset New York divorce are child custody and asset division.
For today’s purposes, we will focus on the latter issue of how to fairly divide marital assets.
Some assets may be indivisible
Not all assets can be divided between both spouses. One example of a typically indivisible asset is the country club membership. Even if the membership was acquired after the couple married, these memberships are issued to the member only, with any spouses or children assuming associate membership status.
Thus, a large asset with an expensive buy-in and high annual dues will still remain with the original member.
Trade assets to balance your membership loss
Just because you can’t walk away with the club membership after you divorce doesn’t negate its value. You are still entitled to a percentage of its value in your property settlement.
But you can’t get your fair share without an accurate valuation of the worth of the country club membership. Then, once you’ve established its worth, you can angle for that value from another marital asset.
What will balance this loss?
What assets you receive in exchange for your loss of the club membership depends on the stage of life you’re in. A co-parent with young children might trade their share of the club membership to remain in the family home and rear the children. Empty nesters might seek a larger piece of the retirement pie or the country house in exchange.
Learn more about dividing assets in divorce
Remember that you can’t get the full value for marital assets unless you already know their true value. Arming yourself with knowledge of New York’s family laws can help you prepare for what lies ahead.